Electronic Arts 2002 Annual Report Download - page 22

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International Net Revenues
The increase in international net revenues for fiscal 2002 compared to fiscal 2001 was attributable to
the following:
|•••»Europe’s net revenues increased by 34% compared to the prior year primarily due to higher PlaySta-
tion 2, AL and PC sales, partially offset by the expected decrease of revenues from Sony PlayStation.
PlayStation 2 launched in November 2000. Consequently, fiscal 2001 includes five months of revenues
as compared to twelve months of revenues from the PlayStation 2 in fiscal 2002, resulting in an 80%
increase in PlayStation 2 revenues.
|•••»Asia Pacific’s net revenues increased by 5% compared to the prior year primarily due to higher
PlayStation 2, Game Boy Color®and PC revenue, partially offset by the expected decrease in PlayStation
and Nintendo 64 sales, and an unfavorable exchange rate comparison of approximately 10%. PlayStation 2
revenues increased by 46%, partially offset by a 34% decrease in PlayStation revenues in fiscal 2002
as compared to fiscal 2001.
|•••»Japan’s net revenues increased by 11% compared to the prior year primarily due to higher AL revenue
and revenue generated from sales of PlayStation, Nintendo GameCube and Xbox products, offset by
the strong sales of our first PlayStation 2 title,
FIFA Soccer World Championship
,in the prior year
and weakness in the Yen currency during fiscal 2002 resulting in a rate decrease of approximately 14%
from fiscal 2001. Also, Japan did not benefit from our primary PlayStation 2 releases during the cur-
rent fiscal year, which have more appeal to the North American market. PlayStation 2 revenues
decreased by 50% in fiscal 2002 as compared to fiscal 2001.
Information about our worldwide net revenues by product line for fiscal 2002 and 2001 is presented below
(in thousands):
INCREASE/
2002 2001 (DECREASE) % CHANGE
EA STUDIO:
PlayStation 2 $482,882 $258,988 $ 223,894 86.4 %
PC 456,292 405,256 51,036 12.6 %
PlayStation 189,535 309,988 (120,453) (38.9 %)
Xbox 78,363 —78,363 N/A
Nintendo GameCube 51,740 —51,740 N/A
Game Boy Advance 43,653 —43,653 N/A
Game Boy Color 38,026 —38,026 N/A
Advertising 38,024 6,175 31,849 515.8 %
Online Subscriptions 30,940 28,878 2,062 7.1 %
License, OEM and Other 24,762 20,468 4,294 21.0 %
N64 18,152 67,044 (48,892) (72.9 %)
Online Packaged Goods 3,296 3,198 98 3.1 %
1,455,665 1,099,995 355,670 32.3 %
AFFILIATED LABEL: 269,010 222,278 46,732 21.0 %
Consolidated Net Revenues $1,724,675 $1,322,273 $ 402,402 30.4 %
PlayStation 2 Product Net Revenues
Revenues increased for the twelve months ended March 31, 2002 due to the higher installed base of
PlayStation 2 hardware and more titles, including catalogue, available on the platform compared to the
same period last year. Major releases for the fiscal year include titles such as
Madden NFL 2002
,
James
Bond 007 in…Agent Under Fire
,
FIFA 2002
,
NBA Street
,
NBA Live 2002
,
NCAA Football 2002
,
SSX
Tricky
,
NHL 2002
and
NASCAR Thunder 2002
.We released 18 PlayStation 2 titles in the current fiscal
year compared to 15 in the same period last year.We expect revenues from PlayStation 2 products to con-
tinue to grow in fiscal 2003, but as revenues for these products increase, we do not expect to maintain these
growth rates.
EA 2002 AR
18